Takefuji restructure plan in doubt

A&P Financial, the South Korean consumer lender chosen to be Takefuji Sponsor, returning the lender to the private sector has failed to deliver the ¥28bn (€266m £229m $359m Y2.28bn) agreed purchase price.

It is understood that A&P has run into difficulty raising the money in Japan. It had sought to raise the money in Yen in order to safeguard against any future changes in the Korean Won / Yen exchange rates and because interest rates were lower in Japan. A&P are saying they will succeed in raising the money before year end. Assuming they are successful the delay is likely to have a knock on effect on the restructuring plans longer than the delay in delivering the money. A&P / embryo new Takefuji will have to recruit in Japan but cannot do so until the money is raised.